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Discontinued Operations
 6 Months Ended
Jun. 30, 2019
Discontinued Operations [Abstract]  
Discontinued Operations
3. Discontinued Operations

 

On January 31, 2019, the Company entered into an Asset Purchase Agreement with The Dating Company, LLC, pursuant to which the Company sold substantially all of the assets related to its online dating services business under the domain names FirstMet, 50more, and The Grade (collectively, the “Dating Services Business”) for a cash purchase price of $1.6 million, with $100,000 of the purchase price to be held in an escrow account to secure certain of the Company’s post-closing indemnification obligations. The closing of the asset sale was effective as of January 31, 2019.

 

In the first quarter of 2019, management determined that the disposal of the Dating Services Business met the criteria for presentation as discontinued operations. Accordingly, the results of the Dating Services Business are presented as discontinued operations in our condensed consolidated statements of operations and are excluded from continuing operations for all periods presented. In addition, the assets and liabilities of the Dating Services Business are classified as held for sale in our condensed consolidated balance sheets for all periods presented.

 

The operations of the Dating Services Business are included in our results as discontinued operations through January 31, 2019, the date of sale.

 

The following tables summarize the major line items included in loss from discontinued operations for the Dating Services Business:

 

   Three Months Ended   Six Months Ended 
   June 30,   June 30, 
   2018   2018 
Revenues  $1,566,230   $3,243,876 
Costs of revenue   (376,051)   (660,047)
Sales and marketing expense   (1,059,748)   (2,083,760)
Product development expense   (417,820)   (863,864)
General and administrative expense   (283,417)   (566,833)
Loss from discontinued operations  $(570,806)  $(930,629)

 

   Three Months Ended   Six Months Ended 
   June 30,   June 30, 
   2019   2019 
Revenues  $          -   $440,225 
Costs of revenue   -    (115,338)
Sales and marketing expense   -    (270,200)
Product development expense   -    (76,845)
General and administrative expense   -    (82,722)
Loss from discontinued operations  $-   $(104,880)